Google, Yahoo, eBay and Facebook have ganged up on Peter Mandelson's power grab in the Digital Economy Bill. The four Web giants have sent an open letter urging the disgraced peer to drop Clause 17, which gives him the power to rewrite copyright law.

Mandelson isn't going to let a little thing like not actually being elected to his job stop him from trying to scoop up more powers. Clause 17 of the bill will allow Mandelson to rewrite copyright law and confer powers on non-government bodies. It's this that the four Internet giants object to, as it 'opens the way for arbitrary measures' that 'would discourage innovation [and] impose unnecessary costs, potentially unsettling the careful balance of responsibilities for enabling market change which Lord Carter outlined in the Digital Britain report'. The clause 'creates uncertainty for consumers and businesses and puts at risk the UK's leading position in a digital Europe'.

It's not a principled stand against outdated ideas about copyright, then, but rather a business-motivated warning against creating uncertainty and instability in the digital sector. This is exactly what the government needs to hear: we can go on about information wanting to be free as much as we like, but that won't sway the law makers.

The Digital Economy Bill was debated in the House of Lords on Wednesday. It will now go for detailed examination by committee on 6 January, before going back to the Lords for further discussion and amendment.

Click 'continue' to read the full text of the letter.

The full text of the letter sent by Google, eBay, Yahoo and Facebook:

'Dear Lord Mandelson,

As the providers of online services used by millions of people in the UK, we are enthusiastic supporters of the impressive ambitions set out in the Digital Britain report.

As the Digital Economy Bill has its Second Reading in the House of Lords today [Wednesday], we want to express our grave concerns regarding the inclusion of measures which risk stifling innovation and damaging the Government's vision for a Digital Britain.

We strongly share the Government's belief that an open Internet available to all and offering consumers the broadest range of innovative services brings huge social and economic benefits. We support measures to ensure this common goal. We are also convinced that the value of copyright will help unlock the potential for Digital Britain. Our companies play an active role in adapting content-distribution models to the online environment, and partner with providers, including the music and film sectors. A shared respect for copyright is, of course, key.

We fear, however, that the unexpected new clauses of the Digital Economy Bill will hinder, rather than contribute to, the Government's vision. In particular, we believe the bill's Clause 17 -- which gives any future Secretary of State unprecedented and sweeping powers to amend the Copyright, Design and Patent Act -- opens the way for arbitrary measures. This power could be used, for example, to introduce additional technical measures or increase monitoring of user data even where no illegal practice has taken place. This would discourage innovation [and] impose unnecessary costs, potentially unsettling the careful balance of responsibilities for enabling market change which Lord Carter outlined in the Digital Britain report.

This clause is so wide that it could put at risk legitimate consumer use of current technology, as well as future developments. We all acknowledge that new business models need to emerge to support creative content. They are inherently risky and entrepreneurs rely heavily on there being a consistent and stable approach to copyright enforcement. This clause would inject an unprecedented level of uncertainty in this regard.
The industry as a whole had hoped that the outcome of Digital Britain would be a clear, workable set of principles by which the industry could operate. On the contrary, Clause 17 creates uncertainty for consumers and businesses and puts at risk the UK's leading position in a digital Europe.